Growing and accessing wealth has never been easier thanks to the advent of FinTech. Financial technology has changed how we bank, lend, and manage our wealth. The democratizing factor of FinTech has also broken-down barriers to advocate for financial inclusion worldwide. To understand the universal growth of FinTech, Macropay reviews the different levels of FinTech advancement in different key regions around the world.
Furthermore, not all nations and regions have grown at the same rate. Some are further ahead than others, but we can safely say that FinTech has taken hold in every corner of the world.
Fintech in North America
There’s no doubt that the U.S.A. is the world’s leader in FinTech. The FinTech ecosystem’s biggest innovations tend to come from America’s many tech hubs like the Bay Area and New York City. The birthplace of PayPal and Stripe, North America’s FinTech scene leads the industry in blockchain, payments, business banking, and more.
Fintech in Europe
Europe trails North America in FinTech innovations with its sophisticated financial ecosystem and open banking initiatives. Stockholm, London, and Berlin are among the continent’s most thriving FinTech cities, but Oslo is quickly catching up thanks to Norway’s push to become one of the first completely cashless countries in the world. Luxembourg is also positioning itself as a tax-friendly investment hub, while Malta is planning to become a capital for cryptocurrencies.
Fintech in South America
Like Asia and Africa, South America possesses countless growth opportunities for the FinTech industry. Latin American FinTech companies are hyper-focused on financial inclusion, with a special interest in neobanks and payment solutions. Mexico City, Sao Paolo, and Buenos Aires are considered the FinTech capitals of the region.
Fintech in Asia
Asia is considered the fastest-growing region in FinTech in the world, and China is the region’s biggest player. China boasts the highest FinTech adoption rate in the continent, and a strong majority of citizens and SMEs use FinTech apps for money transfers and mobile payments. India is following close behind, while South Korea, Japan, Hong Kong, and Singapore lead in wealth management and digital commerce.
Developing countries in Southeast Asia like Malaysia and Indonesia are ramping up innovations in digital payments and mobile wallets technology. Meanwhile, in the Middle East, favorable government regulations are encouraging further FinTech innovations while Israel still retains the title of the world’s startup hub.
Fintech in Australia
The Australian continent boasts a sophisticated and dynamic FinTech landscape, with lending, neobanks, and payments being the most active sectors in the region. Blockchain and cryptocurrencies are also gaining traction in the continent.
Fintech in Africa
Fintechs in Africa are among the biggest startups on the continent. Mobile subscriber rates and internet penetration growth are expected to boom in the coming years as the region’s rapidly growing economies present attractive opportunities for investors. Digital and mobile payments seem to be the strongest FinTech sector as African countries push toward financial inclusion for its underbanked and unbanked population.
In Review: How Does Fintech Change Per Region?
No two FinTech companies are ever the same. The demands in one country will differ from its neighbors, creating a FinTech environment that is wholly unique to the needs of its consumers per region. FinTech is always quick to adapt to the times and to the evolving demands of the market. So, while some nations are far ahead of others in terms of technology, local FinTech ecosystems have the advantage of understanding what the market needs. In turn, this presents the opportunity for niche technology that can be incorporated to daily life easier and faster than tech created for the general public.
Want more fintech insights & Macropay reviews? Check out our resources.
